Bureaucratic Theory by Max Weber

Bureaucratic Theory by Max
Weber
This article explains the bureaucratic theory of the management principles

by Max Weber in a practical way. After reading you will understand the
basics of bureaucratic management and you can use this as a
powerful management tool.
Bureaucratic theory
At the end of the 19th century, it was German sociologist and author of The
Protestant Ethic and the Spirit of Capitalism (1905), Max Weber who was the
first to use and describe the term bureaucracy. This is also known as
the bureaucratic theory of management, bureaucratic management
theory or the Max Weber theory. He believed bureaucracy was the most
efficient way to set up an organisation, administration and organizations.
Max Weber believed that Bureaucracy was a better than traditional
structures. In a bureaucratic organisation, everyone is treated equal and the
division of labour is clearly described for each employee.
Bureaucracy definition: what is bureaucracy?
Bureaucracy definition: “Bureaucracy is an organisational structure that is
characterised by many rules, standardised processes, procedures and
requirements, number of desks, meticulous division of labour and
responsibility, clear hierarchies and professional, almost impersonal
interactions between employees”.
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According to the bureaucratic theory of Max Weber, such a structure was

indispensable in large organizations in structurally performing all tasks by a
great number of employees. In addition, in a bureaucratic organisation,
selection and promotion only occur on the basis of technical qualifications.
Legal responsibility
According to the bureaucratic theory of Max Weber, three types of power can
be found in organizations; traditional power, charismatic power and legal
power. He refers in his bureaucratic theory to the latter as a bureaucracy. All
aspects of a democracy are organised on the basis of rules and laws, making
the principle of established jurisdiction prevail.
The following three elements support bureaucratic management:
1. All regular activities within a bureaucracy can be regarded as official

duties;
2. Management has the authority to impose rules;
3. Rules can easily be respected on the basis of established methods.
What is a bureaucratic organization?

According to the bureaucratic theory of Max Weber, bureaucracy is the basis
for the systematic formation of any organisation and is designed to ensure
efficiency and economic effectiveness. It is an ideal model for management
and its administration to bring an organisation’s power structure into focus.
With these observations, he lays down the basic principles of bureaucracy
and emphasises the division of labour, hierarchy, rules and impersonal
relationship.
Max Weber’s bureaucratic management principles

Below is a more detailed explanation of the 6 bureaucratic management
principles:
1. Task specialisation
Tasks are divided into simple, routine categories on the basis of

competencies and functional specialisations. Every employee is responsible
for what he/she does best and knows exactly what is expected of him/her.
By dividing work on the basis of specialisation, the organisation directly
benefits. Each department has specific powers. As a result, there is a
delineation of tasks and managers can approach their employees more easily
when they do not stick to their tasks. Every employee knows exactly what is
expected of him/ her and what his/ her powers are within the organisation.
Every employee has a specific place within the organisation and is expected
to solely focus on his/ her area of expertise. Going beyond your
responsibilities and taking on tasks of colleagues is not permitted within a
bureaucracy.
2. Hierarchical of authority
Managers are organised into hierarchical layers, where each layer of

management is responsible for its staff and overall performance. In
bureaucratic organizational structures, there are many hierarchical positions.
This is essentially the trademark and foundation of a bureaucracy. The
hierarchy of authority is a system in which different positions are related in
order of precedence and in which the highest rung on the ladder has the
greatest power. The bottom layers of bureaucratic organizational structures
are always subject to supervision and control of higher layers. This hierarchy
reflects lines of bureaucratic communication and the degree of delegation
and clearly lays out how powers and responsibilities are divided.
3. Formal selection
All employees are selected on the basis of technical skills and competences,
which have been acquired through training, education and experience. One
of the basic principles is that employees are paid for their services and that
level of their salary is dependent on their position. Their contract terms are
determined by organisational rules and requirements and the employee has
no ownership interest in the company.
4. Rules and requirements

Formal rules and requirements are required to ensure uniformity, so that
employees know exactly what is expected of them. In this sense, the rules
and requirements can be considered predictable. All administrative
processes are defined in the official rules. By enforcing strict rules, the
organisation can more easily achieve uniformity and all employee efforts can
be better coordinated. The rules and requirements are more or less stable
and always formalised in so-called official reports. Should new rules and
requirements be introduced, then senior management or directors are
responsible for this.
5. Impersonal
Regulations and clear requirements create distant and impersonal

relationships between employees, with the additional advantage of
preventing nepotism or involvement from outsiders or politics. These
impersonal relationship are a prominent feature of bureaucracies.
Interpersonal relationships are solely characterised by a system of public law
and rules and requirements. Official views are free from any personal
involvement, emotions and feelings. Decisions are solely made on the basis
of rational factors, rather than personal factors.
6. Career orientation
Employees of a bureaucratic organisation are selected on the basis of their

expertise. This helps in the deployment of the right people in the right
positions and thereby optimally utilising human capital. In a bureaucracy, it
is possible to build a career on the basis of experience and expertise. As a
result, it offers lifetime employment. The right division of labour within a
bureaucratic organisation also allows employees to specialise themselves
further, so that they may become experts in their own field and significantly
improve their performance.
Advantages and disadvantages of the Bureaucratic

Theory
Advantages
Generally speaking, the term bureaucracy has a negative connotation and is

often linked to government agencies and large organisations. Nevertheless,
the great benefit of a bureacracy is that large organisations with many
hierarchical layers can become structured and work effectively. It is precisely
the established rules and procedures that allows for high efficiency and
consistent execution of work by all employees.
All this makes it easier for management to maintain control and make
adjustments when necessary. Bureaucracy is especially inevitable in
organisations where legislation plays an important role in delivering a
consistent output.
Disadvantages
Bureaucracy is characterised by a large amount of red tape, paperwork,

many desks, certain office culture and slow bureaucratic communication due
to its many hierarchical layers. This is the system’s biggest disadvantage of
a bureaucratic organization. It is also unfortunate that employees remain
fairly distanced from each other and the organisation, making them less
loyal.
Bureaucracy is also extremely dependent on regulatory and policy

compliance. This restricts employees to come up with innovative ideas,
making them feel like just a number instead of an individual. Later research
(the human relations theory) demonstrated that employees appreciate
attention and want to have a voice in decision making.
Problems
Because employees of an bureaucratic organization have no opportunity to
voice their opinion or influence decision making, a bureaucracy may
demotivate employees in the long run.
Moreover, over the course of time, employees may start to get annoyed at
the various rules and requirements, with the risk that they may start
boycotting and/ or abusing these rules and standing up to the established
order. It is therefore very important that bureaucratic organisations properly
inform employees well in advance about their approach to work and requires
them to accept this. Only employees who agree to this approach are suitable
to work within a bureaucratic organisation.
It’s Your Turn

What do you think? Is the bureaucratic theory of Max Weber still
applicable in today’s modern organizations? Do these management principles
and business ethics work in every organisation or are there exceptions? And
if so, what are the exceptions and what can we learn from them?
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More information
1. Katz, D. & Kahn, R. L. (1978). The social psychology of

organizations. Wiley.
2. Udy Jr, S. H. (1959). Bureaucracy and Rationality in Weber’s
Organization Theory: An Empirical Study. American Sociological
Review, 791-795.
3. Weber, M. (1978). Economy and society: An outline of interpretive
sociology. Univ of California Press.
4. Weber, M. (1905). The Protestant Ethic and the Spirit of Capitalism.
Courier Corporation.
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Bureaucratic Theory by Max

This article explains the bureaucratic theory of the management principles

According to the bureaucratic theory of Max Weber, such a structure was

The following three elements support bureaucratic management:

1. All regular activities within a bureaucracy can be regarded as official

What is a bureaucratic organization?

Max Weber’s bureaucratic management principles

Tasks are divided into simple, routine categories on the basis of

Managers are organised into hierarchical layers, where each layer of

4. Rules and requirements

Regulations and clear requirements create distant and impersonal

Employees of a bureaucratic organisation are selected on the basis of their

Advantages and disadvantages of the Bureaucratic

Generally speaking, the term bureaucracy has a negative connotation and is

Bureaucracy is characterised by a large amount of red tape, paperwork,

Bureaucracy is also extremely dependent on regulatory and policy

It’s Your Turn

1. Katz, D. & Kahn, R. L. (1978). The social psychology of

How to cite this article:

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